REFERENCE

Dutch Tax Rates 2020–2026 Overview

Historical Dutch tax rates from 2020 to 2026. Box 1 brackets, Box 2 dividend tax, Box 3 wealth tax, social security premiums, and 30% ruling thresholds.

📖 10 min read 🔄 Last reviewed Mar 2026

Box 1: Income Tax Rates (2020–2026)

Box 1 covers income from employment, business, and homeownership. The Netherlands uses a progressive bracket system. Bracket 1 rates include social security premiums (volksverzekeringen).

Year Bracket 1 Bracket 1 Limit Bracket 2 Bracket 2 Limit Bracket 3
2020 37.35% €68,507 49.50%
2021 37.10% €68,507 49.50%
2022 37.07% €69,398 49.50%
2023 36.93% €73,031 49.50%
2024 36.97% €38,098 36.97% €75,518 49.50%
2025 35.82% €38,441 37.48% €76,817 49.50%
2026 35.75% €38,883 37.56% €78,426 49.50%

For a detailed explanation of the current brackets, see our 2026 Tax Brackets Guide.

Social Security Premiums (2020–2026)

Social security premiums (volksverzekeringen) are included in the Bracket 1 rate. They cover AOW (state pension), Anw (survivors), and Wlz (long-term care). These premiums apply only to income within the Bracket 1 limit.

Year AOW Anw Wlz Total Premiums Income Tax in B1 Combined B1 Rate
2020 17.90% 0.10% 9.65% 27.65% 9.70% 37.35%
2021 17.90% 0.10% 9.65% 27.65% 9.45% 37.10%
2022 17.90% 0.10% 9.65% 27.65% 9.42% 37.07%
2023 17.90% 0.10% 9.65% 27.65% 9.28% 36.93%
2024 17.90% 0.10% 9.65% 27.65% 9.32% 36.97%
2025 17.90% 0.10% 9.65% 27.65% 8.17% 35.82%
2026 17.90% 0.10% 9.65% 27.65% 8.10% 35.75%

Box 2: Substantial Interest Tax (2020–2026)

Box 2 applies to income from a substantial shareholding (5%+ ownership in a company). This includes dividends and capital gains from selling shares. Since 2024, a two-tier rate applies.

Year Rate (Lower Tier) Lower Tier Limit Rate (Upper Tier)
2020 26.25%
2021 26.90%
2022 26.90%
2023 26.90%
2024 24.50% €67,000 33.00%
2025 24.50% €67,804 33.00%
2026 24.50% €67,804 33.00%

Box 3: Savings & Investment Tax (2020–2026)

Box 3 taxes wealth rather than actual income. The Belastingdienst calculates a fictional return based on your asset mix, then taxes that deemed income at a flat 31–36% rate. Since 2023, the system distinguishes between savings, investments, and debts.

Year Exemption (Single) Savings Rate Investment Rate Debt Rate Tax Rate
2020 €30,846 0.06%–5.28% (tiered fictional return) 30%
2021 €50,000 0.03%–5.69% (tiered fictional return) 31%
2022 €50,650 0.00%–5.53% (tiered fictional return) 31%
2023 €57,000 0.36% 6.17% 2.46% 32%
2024 €57,000 1.03% 6.04% 2.47% 36%
2025 €57,684 1.03% 6.04% 2.47% 36%
2026 €59,357 1.28%* 6.00% 2.70%* 36%

* 2026 savings and debt rates are provisional. Final rates are published by the Ministry of Finance in Q1 2027.

Calculate your Box 3 tax with our Box 3 Tax Calculator.

Heffingskortingen Over Time (2020–2026)

Heffingskortingen (tax credits) directly reduce your tax liability. The two main credits are the algemene heffingskorting (general tax credit) and the arbeidskorting (employment tax credit).

Year Algemene Max Arbeids Max Combined Max
2020 €2,711 €3,819 €6,530
2021 €2,837 €4,205 €7,042
2022 €2,888 €4,260 €7,148
2023 €3,070 €5,052 €8,122
2024 €3,362 €5,532 €8,894
2025 €3,068 €5,599 €8,667
2026 €3,115 €5,685 €8,800

Both credits phase out at higher incomes. The arbeidskorting only applies to earned employment income. See our heffingskortingen guide for the phase-out calculations.

30% Ruling Thresholds (2020–2026)

The 30% ruling requires a minimum taxable salary. There is a lower threshold for employees under 30 with a qualifying Master's degree.

Year Standard Threshold Under-30 + Master's Max Duration Tax-Free %
2020 €38,347 €29,149 5 years 30%
2021 €38,961 €29,616 5 years 30%
2022 €39,467 €30,001 5 years 30%
2023 €41,954 €31,891 5 years 30%
2024 €44,626 €34,003 5 years 30%
2025 €46,660 €35,468 5 years 30%
2026 €48,013 €36,497 5 years 30%

Use our 30% Ruling Calculator to see how these thresholds affect your net income.

Frequently Asked Questions

Where do these rates come from?

All rates are published annually by the Belastingdienst (Dutch Tax Authority) and the Rijksoverheid. We cross-check each figure against official publications.

Are the 2026 Box 3 rates final?

The 2026 bank savings rate (1.28%) and debt deduction rate (2.70%) are provisional. Final rates are published by the Ministry of Finance in Q1 2027 based on actual market interest data for the 2026 calendar year.

Why did the system change from 2 brackets to 3?

From 2020 to 2023, the Netherlands simplified to two brackets (below ~€68–73k and above). Starting in 2024, a three-bracket system was re-introduced — adding a middle tier to differentiate between lower and middle incomes while keeping the top rate unchanged at 49.50%.

Does social security apply to all brackets?

No. Social security premiums (volksverzekeringen: AOW, Anw, Wlz) are charged only on income within Bracket 1 — up to €38,883 in 2026. Brackets 2 and 3 are pure income tax with no social security component.